CTS Corp. reported first-quarter 2026 sales of $139 million, up 11% from a year earlier, as growth in diversified end markets outpaced transportation.
Sales to diversified end markets rose 18%, while transportation sales increased 3%.
Net income climbed to $17 million from $13 million in the first quarter of 2025, and net margin improved to 12.4% of sales from 10.6%.
Diluted earnings per share rose to $0.59 from $0.44, an increase of 15 cents. Adjusted diluted EPS increased to $0.62 from $0.44, up 18 cents.
Profitability also improved at the gross and EBITDA levels. Adjusted gross margin widened to 39.5% from 37.0%, a gain of 250 basis points, while adjusted EBITDA margin rose to 23.0% from 20.5%, also up 250 basis points.
Operating cash flow increased to $17.3 million from $15.5 million a year ago, a gain of $1.8 million.
CTS narrowed its 2026 sales outlook to $560 million to $580 million from a prior range of $550 million to $580 million, and lifted its adjusted diluted EPS forecast to $2.35 to $2.45 from $2.30 to $2.45. The market has reacted to these announcements by moving the company's shares 2.23% to a price of $56.77. For the full picture, make sure to review CTS CORP's 8-K report.
